Those who receive their water from the city of Simi Valley can expect their bills to go up by at least 20 percent after the first of the year.

The City Council typically modifies district water rates in January to coincide with the annual rate changes by the district’s water suppliers, Metropolitan Water District and Calleguas Municipal Water District.

According to Director of Public Works Ron Fuchiwaki, water rates throughout the region have increased dramatically due to the water supply shortage and the high cost of water from additional sources.

The rising cost of water and other fees charged by Calleguas is being passed on to the consumer, Fuchiwaki said. It is projected that the district rates will increase 20 percent to 25 percent.

While rate changes typically take effect at the beginning of each year, MWD has already implemented their new rates. Calleguas will increase its rates effective Jan. 1, 2010.

Calleguas water rates increased by about 22 percent for Tier 1 and 18 percent for Tier 2. The rates are slightly higher to make up for the extra MWD charges from September through December, Fuchiwaki said.

Councilmember Steve Sojka said he wasn’t pleased at such a drastic change.

“I understand it’s a pass-through so it’s justifiable, but still it’s hard to swallow,” Sojka said.

Councilmember Glen Becerra was also upset by the increase but for a different reason: MWD proposed to boost pension benefitfor its employees by 25 percent.

“Why is MWD giving its employees a 25 percent increase in their retirement?” Becerra asked. “Our residents are going to have to pay for that. . . . It makes me a little mad.”

City Manager Mike Sedell understood his anger.

“They are an elected board and they set those rates, and we have no choice if we want that water . . . and that’s the frustration,” he said.

In order to be financially able to absorb the scheduled cost increases and maintain its current level of service, the district needs to bump up its charges as well, a staff report said.

In addition, the district still must meet the 15 percent wateruse reduction mandated by its water suppliers. The new rates would provide the funds needed if the district doesn’t meet that goal and is charged a fine.

City staff presented two-tier and three-tier residential rate structures to the council. The twotier structure would maintain the same billing thresholds as the current system, with water rates increasing in conjunction with Calleguas.

However, the council opted to go with a three-tiered system.

According to a staff report, most purveyors served by Calleguas have adopted three-tiered water rates, including the cities of Moorpark, Thousand Oaks and Camarillo. Golden State Water Company, which serves about 37 percent of Simi households, also has a three-tier rate structure.

“While a 25 percent increase is not satisfactory, if we have no choice, the three-tier option makes it a little more palatable,” said Councilmember Michelle Foster.

The proposed three-tier thresholds are based on average uses: 36 billing units, which is the proposed Tier 1 limit, is the average residential usage during the winter, and 60 billing units, the proposed Tier 2 limit, is the average summer use.

The rates were structured to provide an incentive for a reduction in water use by offering lower rates per billing unit for the first two tiers and creating a much higher third-tier rate as a deterrent for high water use.

The council set Dec. 7 as the date for a public hearing to discuss and adopt the proposed water rate increases.

As required by Proposition 218, public notification will be sent to district customers and there will be a 45-day period for those customers to provide written protests.

If less than a majority of district customers file a written protest, the new water service charges can be implemented and would become effective Jan. 1, 2010, a staff report said.

City ends day-specific

watering restrictions

On Monday the council also agreed to eliminate reference to specific days of the week in its water rules.

Now homeowners who receive water from the city can irrigate their lawns and landscaping three undesignated days per week from April to October. From November to March, outdoor watering is limited to two undesignated days per week.

The council originally chose to designate certain days for watering in order to aid enforcement of a water mandate passed in July.